Metro Bank Holdings PLC
Interim results
Trading update H1 2025
6 August 2025
Metro Bank Holdings PLC (LSE: MTRO LN) (“Metro Bank”)
Legal Entity Identifier: 984500CDDEAD6C2EDQ64
Interim results for half year ended 30 June 2025
Strategic actions drive strong financial performance
- Underlying profit before tax of £45 million in H1 2025 – more than treble the profit in H2 2024
- Revenue up 22% year-on-year to £286 million
- Operating costs down 8% year-on-year
- Exit Net Interest Margin at June 2025 of 2.95%, up 117 bps year-on-year
- Exit Cost of Deposits, at 1.02%, the lowest of any UK high street bank
- Record £1 billion of new corporate/ commercial/SME lending in H1 2025, twice the lending originated in H1 2024, with a £800 million credit approved pipeline for H2 2025
- Future benefit expected from changes to MREL regime
Daniel Frumkin, Chief Executive Officer at Metro Bank, said:
“Metro Bank’s strong performance in the first half of the year reflects the successful execution of our strategy and decisive actions we have taken. We trebled profits, doubled new lending to corporate, commercial and SME customers, meaningfully reduced operating costs and optimised funding to have the lowest cost of deposits of any UK high street bank.
As we celebrate our 15-year anniversary, our unique relationship-led model, specialist lending expertise and expanding store network allows us to support customers, communities and help businesses to grow. This differentiates Metro Bank and fuels our growth.
Looking ahead, we have a clear path to growth, delivering mid-to-upper teens RoTE by 2027, with cost of deposits and operating costs both already below levels needed to meet 2027 targets. We are confident in reconfirming guidance, as the actions we have already taken continue to build momentum to 2027 and beyond.”
Key Financials
£ in millions | H1 2025 | H2 2024 | Change from H2 2024 | H1 2024 | Change from H1 2024 |
| | | | | |
Assets | 16,428 | £17,582 | (7%) | £21,489 | (24%) |
Loans | 8,715 | £9,013 | (3%) | £11,543 | (24%) |
Deposits | 13,363 | £14,458 | (8%) | £15,726 | (15%) |
Loan to deposit ratio | 65% | 62% | 3pp | 73% | (8pp) |
| | | | | |
CET1 capital ratio | 12.8% | 12.5% | 30bps | 12.9% | (10bps) |
Total capital ratio (TCR) | 18.9% | 14.9% | 400bps | 15.0% | 390bps |
MREL ratio | 27.0% | 23.0% | 400bps | 22.2% | 480bps |
Liquidity coverage ratio | 315% | 337% | (22pp) | 365% | (50pp) |
£ in millions | H1 2025 | H2 2024 | Change from H2 2024 | H1 2024 | Change from H1 2024 |
| | | | | |
Total underlying revenue1 | £286.1 | £269.5 | 6% | £234.0 | 22% |
Underlying profit/(loss) before tax2 | £45.1 | £12.8 | 252% | (£26.8) | 268% |
Statutory profit/(loss) before tax | £43.1 | (£178.6) | (124%) | (£33.5) | (>200%) |
Statutory profit/(loss) after tax3 | £30.4 | £75.6 | (60%) | (£33.1) | (>100%) |
Net interest margin | 2.87% | 2.22% | 65bps | 1.64% | 123bps |
Lending yield | 5.67% | 5.48% | 19bps | 5.18% | 49bps |
Cost of deposits | 1.16% | 1.72% | (56bps) | 2.18% | (102bps) |
Cost of risk | 0.14% | 0.01% | 13bps | 0.10% | 4bps |
Earnings per share | 4.5p | 11.2p | (6.7p) | (4.9p) | 9.4p |
Book value per share | £2.17 | £1.76 | £0.41 | £1.64 | £0.53 |
Tangible net asset value per share | £1.61 | £1.57 | £0.04 | £1.38 | £0.24 |
- Underlying revenue excludes grant income recognised relating to the Capability & Innovation fund
- Underlying loss before tax is an alternative performance measure and excludes impairment and write-off of property, plant & equipment (PPE) and intangible assets, transformation costs, remediation costs, net profit/(loss) on portfolio sales and costs associated with capital raise
- H2 2024 profit after tax reflects recognition of Deferred Tax Asset in the period
Investor presentation
A presentation for investors and analysts will be held at 9AM (UK time) on 6 August 2025. The presentation will be webcast on:
https://webcast.openbriefing.com/metro-h125/
For those wishing to dial-in:
From the UK dial: +44 800 189 0158
From the US dial: +1 855 979 6654
Access code: 289883
Other global dial-in numbers: https://www.netroadshow.com/events/global-numbers?confId=67110
Financial performance for the half year ended 30 June 2025
Deposits
£ in millions | H1 2025 | H2 2024 | Change from H2 2024 | H1 2024 | Change from H1 2024 |
| | | | | |
Demand: current accounts | £5,682 | £5,791 | (2%) | £5,662 | 0% |
Demand: savings accounts | £6,991 | £7,534 | (7%) | £8,108 | (14%) |
Fixed term: savings accounts | £690 | £1,133 | (39%) | £1,956 | (65%) |
Deposits from customers | £13,363 | £14,458 | (8%) | £15,726 | (15%) |
| | | | | |
Deposits from customers includes: | | | | |
